Retro gaming legend Atari announced that it has entered into an agreement to acquire Digital Eclipse, the California-based game studio that previously worked with Atari on the 50th-anniversary collection.
The deal includes $4 million in cash and $2.5 million in newly issued Atari ordinary shares, as well as a bonus of $13.5 million over 10 years based on the future performance of Digital Eclipse.
The acquisition of Digital Eclipse will allow Atari to expand its internal development capabilities and utilize Digital Eclipse’s industry-leading experience and proprietary technology. In joining Atari, Digital Eclipse will grow its business and capabilities by expanding its development capacity and access to world-class IP and will leverage Atari’s management expertise.
By adding Digital Eclipse, along with Nightdive Studios, in May 2023, Atari will be able to support its retro-focused growth strategy further.
Wade Rosen, Chairman and CEO of Atari, commented:
“Digital Eclipse is the best in the world at what they do. They have a deep love and respect for the history of the games industry and are renowned for developing critically acclaimed projects based on historic franchises. Digital Eclipse, along with Nightdive, are in perfect alignment with Atari’s DNA and renewed purpose. I’m personally excited to see where we can push the boundaries of retro innovation together.”
Andrew Ayre, Chief Executive Officer, commented:
“Atari and Digital Eclipse share the same ethos when it comes to the celebration and preservation of gaming history. It’s an exciting combination, and I am confident this will serve Digital Eclipse and our fans extremely well as we grow our business and expand our capabilities.”
Founded in 1992, Digital Eclipse’s recent notable projects include Street Fighter: 30th Anniversary, Mega Man Legacy Collection, SNK 40th Anniversary Collection, Teenage Mutant Ninja Turtles: The Cowabunga Collection and Disney Classic Games Collection, which all sold millions of units and were critically acclaimed.
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